ccount deficit:CQXKXG CAD was the key reason why the rupee fell to 69-
to-a-dollar levels. A current account deficit is when a country’s
payments to other nations exceed the amount it SLSGMYreceives. In
India, a high deficit is because of our dependence on imports –
especially oil and gold. This has a direct DPKFTQGJimpact on the rupee.
As the payments to other SIJDLDEcountries are in foreign currencies,
rupees have to be sold. An increase in selling subsequently leads to a
fall in value. In the last five years, India’s current account deficit
GAIXOIYQ rose more than 10-fold.
The government then announced large-scale measures to curb imports of
gold. This led to theMCJYMV CAD fall more than half in 2013-14 to $32.4
billion from the record high of $87.8 billion in 2012-13. When compared
with the Gross Domesti
current account deficit is when a country’s
payments to other nations exceed the amount it SLSGMYreceives. In
India, a high deficit is because of our dependence on imports –
especially oil and gold. This has a direct DPKFTQGJimpact on the rupee.
As the payments to other SIJDLDEcountries are in foreign currencies,
rupees have to be sold. An increase in selling subsequently leads to a
fall in value. In the last
five years, India’s current account deficit
GAIXOIYQ rose more than 10-fold.
The government then announced large-scale measures to curb imports of
gold. This led to theMCJYMV CAD fall more than half in 2013-14 to $32.4
billion from the record high of $87.8 billion in 2012-13. When compared
with the Gross 
Domesti
